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 Personal financial management, V2

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inv
post Jan 5 2012, 10:23 AM

LINsanity
******
Senior Member
1,218 posts

Joined: Jan 2003
From: Subang Jaya


QUOTE(gark @ Jan 5 2012, 10:02 AM)
Saving too much is an obsession, and not healthy in the long term.  laugh.gif  Just commit to save maybe 30% or RM 500 of your salary at the beginning of each month and invest those amount wisely. The rest of money just spend it carefully and treat yourself once a while, it makes your life a little bit more worth living. If you still have some extra money left over put in your vacation fund or something. wink.gif
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sorry for butting in, but shouldn't you treat savings and investment separately?

i mean, there's still an element of risk when you invest, and what if you make a bad investment?

This post has been edited by inv: Jan 5 2012, 10:26 AM
inv
post Jan 5 2012, 03:39 PM

LINsanity
******
Senior Member
1,218 posts

Joined: Jan 2003
From: Subang Jaya


QUOTE(gark @ Jan 5 2012, 12:41 PM)
If you only save, then with the low interest rate you get, sooner or later it get eaten up by inflation. You need to yield at least above the current inflation rate of 3%-5%.

For me I practice the following...

1 month Expenses in Cash form in SA - For Daily use

6 months Expenses in e-FD form (1 Month-Auto renew) - For emergency Use

The rest in investment, that is well diversified across equity, bonds and others. So if 'kena' 1 bad investment got another 9 other investment to backup. If you are conservative (scared to lose), put a majority of your investment in bonds and only some in high quality equity. With careful portfolio management, you can lower your investment risk substantially by diversification.

So far works well for me.  rclxms.gif
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thx for your advice.

i'm just starting to build up my savings and investment portfolio now. i just opened a GIA from PBB and i have some in unit trust as well.

1-month-auto-renew didn't even crossed my mind until u mentioned it.
inv
post Jan 5 2012, 04:45 PM

LINsanity
******
Senior Member
1,218 posts

Joined: Jan 2003
From: Subang Jaya


QUOTE(wongmunkeong @ Jan 5 2012, 04:34 PM)
Rickk, your fuel consumption = 1km using 1 liter?! Assuming RM1.80 = 1 liter of petrol?!!  shocking.gif
If it's true, shere's something very wrong with your car's fuel burning if true. It's usually a sign that there's something majorly wrong with the car - better bring it to have a total checking at a service centre. Safety first bro

My manual 19yr old Wira 1.5 averages 10km to 11km using 1 liter
My mum's 10yr old auto Wira 1.6 averages 8km to 9km using 1 liter
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i think what he meant is $0.18/km.. which is the average for proton cars. sweat.gif

been reading the whole thread from page 1. very long and interesting read. learnt alot esp from you.

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